Mobile technology connects smallholder farmers with global producers
The SAP Rural Sourcing Management mobile solution provides transparency, accountability and access to financial services to smallholder farmer organizations in Africa and Southeast Asia
Istanbul, Turkey, 27 March 2020 – SAP, the world’s largest provider of enterprise application software, has joined Business Call to Action (BCtA) with an aim to cater to the needs of different market segments, including small and mid-sized organizations, to accelerate and scale impact on smallholder farmers. SAP will support its corporate customers to achieve their sustainability goals and build a supply chain that reliably links farm and logistics processes in order to ensure full traceability in foods and fair compensation to farmers for their labour.
Launched in 2008, BCtA aims to accelerate progress towards the Sustainable Development Goals (SDGs) by challenging companies to develop inclusive business models that engage people with less than US$10 per day in purchasing power (in 2015 dollars) as consumers, producers, suppliers and distributors. It is supported by several international organizations and hosted by the United Nations Development Programme (UNDP).
SAP is the market leader in enterprise application software. In line with its vision and purpose to help the world run better and improve people’s lives, SAP is committed to contributing to the SDGs as both an enabler and exemplar. The company has developed the SAP Rural Sourcing Management solution for better management of sustainability data connecting smallholder farmers to global agricultural supply chains.
Some 500 million smallholder farmers produce nearly 80 percent of all food consumed in Asia and sub-Saharan Africa and agriculture is the foremost employer in sub-Saharan Africa, accounting for nearly two-thirds of the total labour force. However, smallholder farmers often lack access to technology and financial services, limiting their ability to grow their business and increase productivity and output. The SAP Rural Sourcing Management solution links farmers digitally to the agriculture value chain through a suite of mobile business applications running on the SAP Cloud Platform that support inclusive agricultural chains.
The SAP Rural Sourcing Management solution s a cloud-based technology that digitally records information on producers, their farms, and their communities at every level of the value chain. Equipped with the SAP Rural Sourcing Management solution, field agents collect data on farmer registration, purchasing and processing of produce, transportation records, advances and payments, and results from farmer surveys. These field agents range from representatives of local cooperatives and local or regional producers to global traders and producers who want to directly connect with smallholder farmers as their original source of agricultural commodities.
“Viewing digital transformation and supply chain management with a sustainability lens is no longer just a nice-to-have option. If we are to continue to feed the rapidly expanding human population and achieve the Sustainable Development Goals, we must immediately begin to ensure that agricultural value chains are connected even to the smallest farmers in developing countries,” notes Daniel Schmid, Chief Sustainability Officer, SAP SE.
Indeed, with this software in the hands of field agents and on the desktops of company office locations, even the most remote rural farmers are better positioned to improve their outputs and incomes. Farmers gain access to relevant information on modern equipment, laboratory research, and emerging technologies. Further, they can more easily collaborate with peers and collect information that allows them access to microfinancing, in turn empowering them to invest in resources like equipment and better seeds for higher yields.
“The SAP Rural Sourcing Management solution recognizes and addresses the unique needs of the varied stakeholders in the value chain of agricultural commodities,” said Head of BCtA, Luciana Trindade de Aguiar. “The SAP Rural Sourcing Management solution offers several ways to improve yields and lives. Smallholder farmers have access to new technology and sources of finance. Large agribusiness companies can better close gaps in due diligence and farmer training. And a supply chain that reliably links farm and logistics processes can ensure full traceability in foods and ensure improvements in output and quality of life from farm to table.”
BCtA membership does not constitute a partnership with its funding and programme partners, UNDP or any UN agency.
About Business Call to Action (BCtA): Launched at the United Nations in 2008, BCtA aims to accelerate progress towards the Sustainable Development Goals (SDGs) by challenging companies to develop inclusive business models that offer the potential for both commercial success and development impact. BCtA is supported by the Dutch Ministry of Foreign Affairs (Minbuza), Swedish International Development Cooperation Agency (Sida), Swiss Agency for Development and Cooperation (SDC), UK Department for International Development (DFID), and hosted by the United Nations Development Programme (UNDP). For more information, please visit www.businesscalltoaction.org.
About SAP: As the Experience Company powered by the Intelligent Enterprise, SAP is the market leader in enterprise application software, helping companies of all sizes and in all industries run at their best 77 percent of the world’s transaction revenue touches an SAP® system. Our machine learning, Internet of Things (IoT), and advanced analytics technologies help turn customers’ businesses into intelligent enterprises. SAP helps give people and organizations deep business insight and fosters collaboration that helps them stay ahead of their competition. We simplify technology for companies so they can consume our software the way they want – without disruption. Our end-to-end suite of applications and services enables more than 440,000 business and public customers to operate profitably, adapt continuously, and make a difference. With a global network of customers, partners, employees, and thought leaders, SAP helps the world run better and improve people’s lives. For more information, visit www.sap.com andwww.sap.com/unglobalgoals.